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Originally Posted by grasshopper I have recenlty moved my construction company to Georgia from Ohio and had to get another Contractor License Bond. I understand that I have to get a new one for the new state I am moving to, which isn't my problem. The thing I don't understand is why Georgia has the bond cancel every year. Is there any practical reason behind this? |
Some bonds are continuous, meaning they are active until the State receives a Notice of Cancellation from the surety company. Other bonds have an expiration date, and in order to continue bond coverage, either a renewal bond or continuation certificate would have to be issued by the surety company and filed with the State at the end of each term. In these cases, usually the renewal of the bond coincides with the licensing renewal. I suppose some states prefer to confirm that you have an active bond in place each time your license renews in an effort to more thoroughly regulate licensees.